One million Australian families will receive free childcare for the duration of the coronavirus crisis.

The Prime Minister announced the childcare plan, which he said will allow centres to remain open, on Thursday afternoon.

There had been concern the industry would collapse because of the virus outbreak.

The federal government will inject $1.6 billion over the next three months.

Prime Minister Scott Morrison says it will keep the childcare sector afloat, and help out busy parents.

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